Following recent media reports alleging that standard hotel rooms in Delhi were being quoted in lakhs during the AI Impact Summit, a meeting was convened by the Minister for Tourism and Culture, Gajendra Singh Shekhawat.
The Hotel Association of India (HAI) reviewed the prevailing market situation to assess the accuracy of these claims. According to a quick assessment conducted with member hotels, the weighted average room rates during the summit are ranging between ₹40,000 and ₹60,000 per night.
Demand surge during global events
HAI noted that global events such as the AI Impact Summit naturally trigger a sharp surge in demand, especially at a time when certain hotel categories are already facing supply constraints.
The association stated that the figures being reported in some sections of the media are incorrect and taken out of context.
Full occupancy driven by multiple factors
Delhi is currently witnessing exceptionally high occupancy levels, supported not only by the summit but also by around 12 wedding dates and ongoing Cricket World Cup matches during the same period.
Demand remains strong across all categories, including suites, resulting in many hotels being sold out.
Luxury suites reflected in reported figures
According to HAI, some of the reported rates likely correspond to deluxe rooms, luxury rooms, and presidential suites. These categories command significantly higher tariffs due to additional services, inclusions, and exclusivity.
The limited inventory currently available in the market is largely confined to such premium categories, which are being priced in line with usual market dynamics during periods of peak demand.
Majority of rooms pre-contracted
For the AI Impact Summit, a substantial portion of hotel inventory had already been contracted well in advance across various segments at pre-negotiated rates.
As a result, the effective average base room rates remain significantly lower than those suggested in recent reports.
Industry commitment to transparency and guest comfort
While HAI does not have a mandate to interfere in the business decisions of individual member hotels, it is engaging with members to collate accurate, data-backed information.
The association reiterated that its members remain committed to safeguarding guest interests and supporting India’s position as a credible, world-class host for global events.
HAI also urged the industry to extend full cooperation and assistance to ensure the comfort of visiting dignitaries and guests during the summit.
